🔥💥 Simplifying Bitcoin Halving: What You Need to Know

1⃣ What is Bitcoin Halving?: Every four years, Bitcoin halving happens. It lowers the reward for mining Bitcoin, which helps keep it rare and fights inflation. But, many people think halving always makes Bitcoin's price go up, which isn't completely true.

2⃣ How it Affects Price: Whether Bitcoin's price goes up or down after halving depends on how much people want it. If demand stays low during a halving year, there's a 50% chance Bitcoin's price could drop more.

3⃣ Inflation Comparison: Right now, Bitcoin's inflation is less than 2%, and it's expected to go down more with future halvings. This is better than traditional currencies like the Australian dollar, which had a 4.1% yearly inflation rate in 2023.

4⃣ Supply and Demand: When mining rewards decrease, the supply of Bitcoin goes down. If demand keeps going up, this can make Bitcoin's price go up too. People like Bitcoin because there's only a limited amount, and they hope its price will go higher.

5⃣ Keeping Realistic Expectations: It's important not to hype up Bitcoin halving too much. It can help raise prices in the right conditions, but it's not a sure thing. It all depends on how much people want Bitcoin.

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